Lotto sales continue to increase despite TRAIN
Revenues from the various games including the lotto or online lottery have continued to increase despite the Tax Reform for Acceleration and Inclusion (TRAIN) law that led to a P4 hike in ticket prices, the Philippine Charity Sweepstakes Office (PCSO) said.
Alexander Balutan, PCSO general manager, said the agency’s total earnings for the month of July hit P5.249 billion, up by 18.66 percent from the same month last year.
“The trust and confidence of PCSO’s gaming public remain high,” Balutan said as he thanked the betting public.
Still the top moneymaker for the PCSO is the Lotto and digit games bringing in more than half of the revenues.
“Topping the list when it comes to revenues for the month of July is Lotto and digit games at P2,591,971,830, however it was down by 3.64 percent compared to the same period last year. As against the small town lottery (STL) revenues at P1,955,344,092, which is an increase of 57.94 percent compared with the same period last year,” Balutan reported.
The Keno game reportedly earned P398,660,720, but was down by 13.74 percent and Instant Sweepstakes tickets with P77,255,000 that was up by 100 percent, compared with the same period last year.
“Even though we increased the ticket (lotto) prices from P20 to P24 due to our Documentary Stamp Tax (DST), people are still patronizing our products hoping they could finally hit the jackpot,” Balutan added.
He said the agency regularly conducts market studies and research to determine the reactions of the gaming public.
“So far as for the ticket price increase, there’s no ‘significant’ negative reaction [from the gaming public]. The gaming public continues to patronize our products because jackpot-driven. The higher the jackpot-prize, the higher the sales,” Balutan said.
Among all Lotto products, Ultra Lotto had the highest revenues as of July with P534,473,580, an increase of 91.24 percent compared with the same period last year.
When Balutan assumed the position as PCSO general manager in September 2016, the agency was earning P37.4 billion a year. By the end of 2017, PCSO revenues reached P52.9 billion.
“With the P15 billion revenue increase annually, the agency is targeting to P55 to 60 billion total revenues by the end of the year,” Balutan said.
The PCSO Charter, or Republic Act 1169, particularly on revenue allocation, provides that the revenue of the PCSO shall be allocated to 55 percent for prize fund (payment of prizes), 30 percent for charity fund (various charity programs and service) and 15 percent as operating fund (maintenance and operating expenses).
“We are serving 1,200 patients daily, and this is including the patients coming from 63 PCSO branches and 62 partner-hospitals with ASAP (At-Source-Ang-Processing) desks nationwide. This is where the 30 percent for charity fund of the gross income of PCSO goes,” Balutan explained.